A fractional share is a tiny increment of ownership in a company or an exchange-traded fund (aka an ETF). Rather than requiring investors to buy a full share (these are sometimes pretty expensive), fractional shares allow investors to purchase smaller portions. This levels the playing field, helping ensure that investors have access to the same opportunities at the same time.
LOREM IPSUM
It hasn’t always been this way. For a long time, individual investors who couldn’t afford full shares in their favorite companies or funds had to wait, saving until they could buy a full share, which could be hundreds or thousands of dollars. Meanwhile, share prices could rise, and those smaller investors could miss an opportunity to invest. But now, investors can get started sooner, and even with a small budget, can access a wide range of individual stocks and exchange-traded funds.
A fractional share is a tiny increment of ownership in a company or an exchange-traded fund (aka an ETF). Rather than requiring investors to buy a full share (these are sometimes pretty expensive), fractional shares allow investors to purchase smaller portions. This levels the playing field, helping ensure that investors have access to the same opportunities at the same time.
HEADING
It hasn’t always been this way. For a long time, individual investors who couldn’t afford full shares in their favorite companies or funds had to wait, saving until they could buy a full share, which could be hundreds or thousands of dollars. Meanwhile, share prices could rise, and those smaller investors could miss an opportunity to invest. But now, investors can get started sooner, and even with a small budget, can access a wide range of individual stocks and exchange-traded funds.
